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  • Question

    Is the rental of an item a supply or service...(specific area in question is for short term vehicle rentals but has applicability for other areas as well such as tool rentals)?


    The overall general answer is it depends; a rental can be either a service contract or a supply contract.  Based upon how this question is phrased and the assumption that the requirement is a FFP contract for short term vehicle rental, FAR Part 8.1103 and 8.1104(e) treats the requirement as a supply contract to include provisions and clauses for supplies when a fixed price contract is contemplated.

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